Eiwa revised its first-half ordinary profit forecast upward from the previous estimate of ¥850 million to ¥1.23 billion, forecasting a 4.9% increase. Full-year ordinary profit was also raised to ¥3 billion, with a new record high now expected.
Eiwa announced an earnings forecast revision after the market closed on 8 October, revising its consolidated ordinary profit forecast for the cumulative second quarter (April to September) of the fiscal year ending March 2027 upward from the previous estimate of ¥850 million to ¥1.23 billion. Compared with ¥1.17 billion in the same period of the previous fiscal year, the revised forecast represents an expected 4.9% increase.
The company said the upward revision was attributable to the conversion of its order backlog into sales, as well as the capture of customer demand for equipment renewals and investment demand. As a result, first-half profit is expected to set a new record high again.
The full-year ordinary profit forecast was also revised upward from ¥2.72 billion to ¥3 billion. Although this is expected to be slightly below the previous fiscal year's actual result of ¥3.04 billion, the rate of decline is expected to narrow. Notes to the earnings summary cite the ongoing uncertainty surrounding the procurement environment for raw materials and auxiliary materials, but say the background to the revision is the steady progress in converting the order backlog into sales.
Eiwa will continue to monitor factors affecting performance in the interim and full-year periods and may disclose additional information if available.